Private Equity Firms Boost Life Insurers’ Investment Returns: Blackstone Exec
June 13, 2022 by Allison Bell
A top Blackstone Group executive told insurance sector watchers Wednesday that private equity firms can help life and annuity issuers earn higher investment returns without adding to default risk.
Marrying private equity firms’ investment origination abilities with the life and annuity issuers’ hunger for high-grade, long-lived assets makes a lot of sense. said Jonathan Gray, president and chief operating officer at Blackstone. This is becoming a key driver of growth in private equity firms‘ involvement in the life and annuity sector.
Gray said private equity firms like Blackstone understand the need to create high-quality assets for their life and annuity clients.
“This is a really important industry,” Gray said. “We want it to be financially sound.”
Gray was speaking online at S&P Global Ratings’ 38th annual insurance conference.